Record Regulatory News (REC)

17 JULY 2012

RECORD PLC

FIRST QUARTER TRADING UPDATE

Record plc ("Record" or the "Company"), the specialist currency manager, announces today that as at 30th June 2012 the Group's assets under management equivalents ("AuME") totalled $29.9 billion (31st March 2012: $30.9 billion).

AuME expressed in Sterling as at 30th June 2012 totalled £19.1 billion (31st March 2012: £19.3 billion).

1. AuME composition

Record saw a slight overall decrease in AuME when expressed in both US Dollars and Sterling during the period between 31st March 2012 and 30th June 2012. The composition of AuME at 30th June 2012 was as follows:

Note 1: This includes $0.8 billion of Emerging Market strategies (31st March 2012 $0.8 billion).

As previously announced, in early April, the largest remaining investor in the Active Forward Rate Bias Pooled Currency for Return fund (Cash Plus) redeemed its investment. This led to the closure of the fund as the remaining fund size was unviable, with other investors either redeeming or switching into other pooled funds. Record continues to offer pooled funds in Passive Forward Rate Bias, Emerging Market and Euro Stress strategies, as well as segregated Active Forward Rate Bias mandates that maintain this product's live track record.

2. AUME Movement

Net client AuME flows in the three months to 30th June 2012 by product were as follows:

Record had 40 clients at 30th June 2012, compared with 41 at 31st March 2012.

The factors other than client flows which have impacted AuME during the quarter, totalling -$1.0 billion, were:

(i) Movements in global stock and other markets: -$0.1bn

Substantially all the Passive and Dynamic Hedging, and some of the Currency for Return

mandates are linked to stock and other market levels. Consequently AuME is affected by

movements in these markets;

(ii) Exchange rate movements: -$0.9bn

Exchange rate movements during the period affect the conversion of non-US Dollar

mandate sizes into US Dollar AuME.

Our Dynamic Hedging programmes performed as expected for US clients during the quarter. The US Dollar followed a volatile path during the quarter especially against the Euro and the Japanese Yen. As the US Dollar strengthened the Dynamic hedging programmes protected clients against the decline in the value of foreign currencies capturing over a third of the US Dollar strength.

For UK-based Dynamic Hedging clients the programmes also performed as expected. Sterling declined in value during the quarter against the background of elevated levels of volatility especially in the Japanese Yen and the US Dollar. This elevated volatility resulted in a negative quarterly performance for UK based Dynamic Hedging clients.

Investment performance in Record's established Active Forward Rate Bias (FRB) product was negative during the quarter ending 30th June 2012 and for an un-geared portfolio equated to a negative return of 1.02% over the quarter (3 months to 31st March 2012: positive return of 1.63%). This compares to a positive return in the quarter of 0.04% for the FTSE Currency FRB10 index (excess return in Sterling). The FRB10 index has outperformed the active FRB product principally because of the index's greater exposure to less liquid currencies and the absence of risk management costs.

Investment performance in Record's systematic Emerging Market product was negative during the quarter ending 30th June 2012 and for an un-geared portfolio equated to a negative return of 2.95% over the quarter (3 months to 31st March 2012: positive return of 6.42%). This product will reach the third anniversary of its live track record in November 2012.

3. AVERAGE FEE RATES

During the quarter to 30th June 2012, fee rates for the Hedging products remained broadly unchanged from the previous quarter. Average fee rates for Currency for Return products declined marginally due to changes in the composition of these mandates.

4. CHIEF EXECUTIVE'S COMMENT

Chief Executive James Wood-Collins, commenting on trading, said "Overall AuME declined during the period due to the previously announced closure of the last remaining Active FRB pooled fund and as a result of declines in equity markets that affected our hedging mandates. This was partially offset by flows into Passive Hedging.

"We continue to focus our attention on marketing our products in our key markets of the UK, North America and Switzerland. The level of engagement with prospective clients is encouraging, particularly for Passive Hedging in Switzerland and for Dynamic Hedging and related strategies in North America. Whilst we have not secured any significant new mandates during the period, we have responded to a number of requests for proposals, particularly in Switzerland.

"We are confident that progress can be made in acquiring new business by the end of the current financial year."

Record will announce its second quarter trading update on 16th October 2012.

Ends

For further information, please contact:

Record plc Tel: +44 (0) 1753 852 222

James Wood-Collins

Paul Sheriff

MHP Tel: +44 (0) 20 3128 8100

Nick Denton

John Olsen

Vicky Watkins

Notes to Editors

Record plc

Record is a specialist currency manager and provider of currency hedging services for institutional clients. Founded in 1983, Record has established a market leading position as a currency manager. Specifically, the Group has a leading position in managing Dynamic Hedging and Currency for Return for institutional clients.

The Group has three principal product lines:

- Dynamic Hedging, formerly known as Active Hedging, where Record seeks to eliminate the impact of currency movements on elements of clients' investment portfolios that are denominated in foreign currencies when these movements are expected to result in an economic loss to the client, but not to do so when they are expected to result in an economic gain;

- Passive Hedging, where Record seeks to eliminate fully or partially the economic impact of currency movements on elements of clients' investment portfolios that are denominated in foreign currencies; and

- Currency for Return, formerly known as Absolute Return, in which Record enters into currency contracts for clients with the objective of generating positive returns.

Record (LSE: REC) was admitted to trading on the London Stock Exchange on 3rd December 2007.

This announcement includes information with respect to Record's financial condition, its results of operations and business, strategy, plans and objectives. All statements in this document, other than statements of historical fact, including words such as "anticipates", "expects", "intends", "plans", "believes", "seeks", "estimates", "may", "will", "continue", "project" and similar expressions, are forward-looking statements.

These forward-looking statements are not guarantees of the Company's future performance and are subject to risks, uncertainties and assumptions that could cause the actual future results, performance or achievements of the Company to differ materially from those expressed in or implied by such forward-looking statements.

The forward-looking statements contained in this document are based on numerous assumptions regarding Record's present and future business and strategy and speak only as at the date of this announcement.

The Company expressly disclaims any obligation or undertaking to disseminate any updates or revisions to any forward-looking statements contained in this announcement whether as a result of new information, future events or otherwise.